Amazon's Q2 growth was explosive, with net sales of $134.4 billion!

Did Amazon make a ton of money last quarter?

August 4, Beijing time

Amazon announces second quarter 2023 financial results

Its second quarter revenue was $132.38 billion

11% YoY growth

Operating profit increased to $7.7 billion from $3.3 billion last year

Year-on-year growth of 11%.

Net profit was $6.75 billion

This is the highest level since the fourth quarter of 2012.

Despite the attack from Temu and Shein

But Amazon doesn't seem to be affected

In general, this has a lot to do with Amazon's reforms and adjustments that keep pace with the times.

Amazon's logistics upgrade

Past four years

Amazon has invested a lot of financial resources

To transform warehouses and distribution networks

Reduce delivery time from two days to one day or less

Recent news

Over 300 million items eligible for free Prime Shipping

Especially the continuous innovation of prime membership services

In the 60 largest metropolitan areas in the United States,

More than half of Prime members’ orders

Delivered same day or next day.

This year so far

Amazon has delivered more than 1.8 billion items to Prime members in the U.S. on the same or next day.

This is about four times the delivery rate during the same period in 2019.

Fast logistics

Not only has it attracted loyal members for Amazon

It also greatly reduces transportation costs

Cost reduction and efficiency improvement issues

By the end of this quarter

The company has 1.52 million employees

Compared with the previous quarter, there are about 100,000 fewer people

The huge number of layoffs is a major reason for reducing employment costs and increasing profits

At the same time, FBA logistics costs and prime membership prices in North America have increased

This is also an important reason for the increase in profits

Not satisfied with the good results in Q2

Amazon expects further growth in its third quarter

Net sales to reach $138 billion to $143 billion

Or an increase of 9% to 13% compared to the third quarter of 2022

In the struggle among various e-commerce platforms

Amazon still has a long way to go

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